Asked by Anubhav Chhetri on Sep 23, 2024

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​Which of the following will decrease the break-even quantity?

A) ​Falling fixed costs
B) Increasing marginal costs
C) An increase in the price
D) ​Both A&C

Break-Even Quantity

The number of units that must be sold to cover all fixed and variable costs, resulting in neither profit nor loss.

  • Ascertain the break-even points and recognize their relevance.
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AP
Angela Padilla Vidarteabout 22 hours ago
Final Answer :
D
Explanation :
A) Falling fixed costs will decrease the total cost, which will shift the break-even point to the left (lower quantity).
C) An increase in price will increase the revenue per unit, which will decrease the number of units required to break even (shift the break-even point to the left).